On 27 June, Auckland Council’s Governing Body approved the reappointment of Chief Executive Stephen Town for a further two years.
Mr Town’s initial five-year term as Chief Executive expires on 31 December 2018. The reappointment means his employment contract will be extended until December 2020.
In conjunction with Mr Town’s reappointment, the Governing Body also agreed to a 1.16 per cent increase to his salary.
Mayor Phil Goff says: “Stephen’s contract extension reflects the stable leadership he has provided over the last five years and the steps he has taken towards creating a more cost-effective and customer-focused council.
“Stephen’s leadership will help ensure stability and continuity in council as we deliver transformational infrastructure investment in Auckland and continue to find efficiencies.
“Auckland Council and the chief executive have agreed on a modest 1.16 per cent salary increase acknowledging the need for restraint in council spending.
“The chief executive position is well paid, reflecting the size and complexity of the job and his responsibility for a multi-billion dollar budget. However, Mr Town and the council recognise the need for a conservative approach to top salary increases,” says Mayor Goff.
Mr Town says he is pleased to be offered a two-year extension and that working for the council and serving the people of Auckland is a huge privilege.
“My focus is on leading a high-performing organisation that puts our customers, citizens and communities at the centre of everything we do to make this city a great place to live," he says.
“I welcome the opportunity to continue working on transforming council services, ensuring prudent financial management and tackling the issues that matter most to Aucklanders."
Under the Local Government Act, a local authority must complete a review of a chief executive’s employment at the end of a five-year term before it can decide to extend a contract.
Over the last two months, Auckland Council’s Appointments, Performance Review and Value for Money Committee undertook the employment review and recommended a two-year contract extension to the Governing Body, the maximum allowed under the Act.
Remuneration review
A remuneration review has been completed concurrent to the employment review. From 1 July 2018, Mr Town’s remuneration package will consist of a base salary of $677,669.90 and a $20,330.10 employers KiwiSaver contribution.
The Governing Body agreed to increase the Chief Executive’s salary from $690,000 to $698,000, or by 1.16 percent.